Emotion in Forex Trading
You are so excited in Forex Trading! You want to make as much money as possible! You place a trade and the price against your trade, you think that price may come back to your track again. So, you wait and wait and wait.... Finally, your account was burnt and you got so upset....
Well, that's normally what a new trader will experience when they start to trade in forex. As a fact, we all human being have emotion. You feel excited when you just got started because forex trading can earn you a lot of money(if you do it right, yes). You feel excited to gain few profit and got out of the market and the price still go on your way.
There are few areas which will cause your emotion to control your trade. Let's find out what are they:
1. Greed. This is the number 1 Killer of forex trading. When you are greedy, you better train yourself not or you will be regret. When someone is greedy in trading the forex, they will put more and more money in and lose more and more. Never be greedy.
2. Invest more than you can lose. Well, I think you must know that trading forex is a high risk activity. Some newbies, they just know that its' a high-profitable investment but didn't know that this is as well a high risk investment. Never, never, never put the money you can't afford to lose in your account. You family, health, life is more important than making money.
3. Blindly trade. Trading forex is not about gambling. So, please equip yourself with forex education. If you don't know how trade, you better don't trade. It's worthy to put your first investment in education before you trade your first trade.
These are few major things that will affect our emotion in trading. So, master your emotion first will you master 80% of your trading.
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